Equipment costing $200,000 with accumulated depreciation of $160,000 is sold at a loss of $10,000. This implies that $30,000 cash was received from the sale.
Answer the following statement true (T) or false (F)
True
| Cost of asset | $ | 200,000 | |
| Accumulated depreciation | 160,000 | ||
| Book value | 40,000 | ||
| Cash received | (30,000 | ) | |
| Loss on sale | $ | 10,000 |
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Home Base, Inc. reports the following production cost information:Units produced97,000 unitsUnits sold92,000 unitsDirect labor$17 per unitDirect materials$34 per unitVariable overhead$26 per unitFixed overhead$1,940,000 in totala. Compute production cost per unit under variable costing.b. Compute production cost per unit under absorption costing.c. Determine the cost of ending inventory using variable costing.d. Determine the cost of ending inventory using absorption costing.
What will be an ideal response?
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